Telecommunication Services - Understanding classification

and scheduling

A D V A N C E D S C H E D U L I N G W O R K S H O P F O R S A D C M E M B E R S T A T E S

W I N D H O E K , N A M I B I A

2 3 - 2 6 S E P T E M B E R 2 0 1 4

What modes of supply are relevant? 2

An international voice telephone call from A to B

Orascom (Egypt) invests in Telcell Zimbabwe

Data sent from South Africa to Mauritius for on-line processing.

All incoming and outgoing telephone calls must be routed through government-operated gateway

Mobile roaming by a Mozambican citizen in Namibia

V-SAT expert consultant from Zambia travels to Botswana to provide advice to a company.

A subscriber of Orange Botswana sends out data messages from BW to a subscriber of Vodacom in ZA

Modes of supply & telecoms

3 Definition Examples

1) Cross border Supply

The suppliers are not present in the territory in which the service is supplied

International simple resale, call back services, incoming flows of telecom traffic, certain satellite services

2) Consumption abroad

The consumers obtain services outside their country of residence

Mobile roaming, Data or traffic sent out for on-line processing, Purchase abroad of transmission capacity, call back services

3) Commercial presence

The services entities are present in the territory where they supply the services

A rep office or subsidiary. Foreign equity in privatization of a PTO. Any direct or indirect investment by a foreign service supplier, incl. outgoing traffic supplied by such entities

4) Presence of natural persons

The entry and temporary stay of individuals to supply services

Consultancy or professional services, e.g contracting of foreign telecom engineers or experts Also, employment of foreign personnel by telecom service providers

4

Telecom and other services

Customer uses a computer or other access device:

Logs onto internet:

web site host receives remuneration from advertising :

Customer orders a product:

Pays for it:

Downloads it or has it mailed:

Computer services

communication services

advertising services

distribution services

Financial services

Courier services

5

Convergence GATS Negotiations

Negotiators have noted...

Blurring lines between telecom, computer & audiovisual transmission services

Increasingly integrated service offerings

Resulting challenges for classification scheme, overlap of different scheduled commitments, scope of regulatory obligations

6

Convergence GATS Negotiations

Negotiators suggest...

Fullest possible liberalization across the broad spectrum of telecom & ICT services?

Technology neutral telecom commitments?

Apply reference paper to broader range of telecom services?

More commitments on cross-border supply?

8

Modes of supply: 1) Cross-border supply 2) Consumption abroad 3) Commercial presence 4) Presence of natural persons

Sector or Sub-sector Limitations on

Market Access

Limitations on National

Treatment

Additional

Commitments

2.C. Telecommunications Services

(a) Voice telephone services

(b) Packet switched data transmission

(c) Circuit-switched data transmission

(d) Telex services

(e) Telegraph services

(f) Facsimile services

(g) Private leased circuit services

(h) Electronic mail

(i) Voice mail

(j) On-line information and data baseretrieval

(k) Electronic data interchange (EDI)

(l) Enhanced/value-added facsimileservice

(m) Code and protocol conversion

(n) On-line information and/or dataprocessing

(1) None

(2) None

(3) None

(4) Unboundexcept as indi-cated in Part I

(1) None

(2) None

(3) None

(4) Unboundexcept as indi-cated in Part I

RegulatoryPrinciples, asannexed.

A Sample Commitment

9

Services is supplied over leased network

transmission capacity. Do you require it for some services but not allow it for others? Have you phased it in?

Allowing closed user groups services to be SOLD to companies (third parties). NOT to be confused with: leasing of circuits restricted to self-use for intra-corporate communications.

Transport capacity - As defined in Chairman’s Note! Relates to “supply” or sale of capacity NOT “use” or to services supplied by using or leasing capacity.

Most common misunderstandings

Resale-based

For non-public use

(g) leased circuit services

Telecom approach to scheduling: The Chairman's Understanding

(S/GBT/W/2/Rev.1 –Attachment 5 to S/L/92) 10

A listed service covers, unless otherwise stated:

(a) encompasses local, long distance and international services

for public and non-public use;

(b) may be provided on a facilities-basis or by resale; and

(c) may be provided through any means of technology (e.g., cable, wireless, satellites) including all types of cable.

Spectrum Management and Scehduling 11

Members have the right to exercise spectrum/ frequency management, which may affect the number of service suppliers, in accordance with Article VI and other relevant GATS provisions and, if applicable, the Reference Paper.

As a result, reference to commitments "subject to availability of spectrum/ frequency" is not needed in schedules

(Chairman’s note – S/GBT/W/3- Attachment 6 to S/L/92)

12 CHAIR NOTE CATEGORIES

W/120 SERVICES

GEOGRAPHIC MARKET MEANS OF SUPPLY USER-BASE TYPE OF TECHNOLOGY

Local Long

distance

Inter-

national

Facilities-

based

Resale-

based

For public

use

For non

public use

Wire-

based Wireless

mobile

terrestrial

mobile

satellite

fixed

satellite

Voice telephone

Packet-switched

data transmission

Circuit-switched

data transmission

Private leased

circuit services

Electronic mail

Voice mail

On-line

information and

data base retrieval

Electronic data

interchange

Enhanced/ value-

added facsimile

Code & protocol

conversion

On-line

information and/or

data processing

Other

Chairman’s Note services/categories matrix

?

13

CHAIR NOTE CATEGORIES

W/120 SERVICES

GEOGRAPHIC MARKET MEANS OF SUPPLY USER-BASE TYPE OF TECHNOLOGY

Local Long

distance

Inter-

national

Facilities-

based

Resale-

based

For public

use

For non

public

use

Wire-

based Wireless

mobile

terrestrial

mobile

satellite

fixed

satellite

Voice telephone M M M M M M M C C C M

Packet-switched

data transmission C C C M C C C C C

C M

Circuit-switched

data transmission C C C M C C C C C C M

Private leased

circuit services M M M M M M M M M M M

Electronic mail

Voice mail

On-line

information and

data base retrieval

Electronic data

interchange

Enhanced/ value-

added facsimile

Code & protocol

conversion

On-line

information and/or

data processing

C C C M C C C C C C M

E.g. Monopoly - fixed voice & infrastructure

SADC Member States Offers 14

Under GATS, only Mauritius, South Africa (BT, VA with limitations), Lesotho (VA only), DRC (voice only)

GATS: Reference Paper only by South Africa (Mauritius?)

SADC offers by DRC, Seychelles, Mauritius, Tanzania, Zambia, South Africa, Malawi

Some ENTs

Foreign capital restrictions

Network build-out restrictions

Any technical questions on the following offers?

15

Any questions? 16

Any questions

17